chuck hagel is a vietnam vet, so when he accepted the president's nomination as secretary of defense, it was fitting his thoughts turned first to the troops. >> these are people who give so much to this nation everyday with such dignity and selflessness. >> reporter: but if he is confirmed, one of hagel's toughest jobs will be deciding how much to cut back the size of the military and the size of military paychecks. that won't be easy. >> despite all the conspiracy theories about the defense industry, it's actually a lot easier to cut weapons than to cut personnel costs. when you try to cut military pay and benefits, you run into a buzzsaw on capitol hill. >> reporter: if you count benefits like tax-free cash allowances for housing and food, most service members now make more than civilians with similar levels of education and experience. the obama administration has already used up the easiest savings in the defense budget, but it hasn't taken on personnel costs. as a veteran and a former head of the u.s.o., hagel might have the clout to bring military pay raises in line with what's